Carriage revenue for MSOs on correction course

MUMBAI: Two cable TV distribution companies have said separately that their second-quarter revenue has seen a fall over the earlier-year period, signaling a correction in carriage fee income that they charge from broadcasters as channels jostle for space on their analogue networks.

Hinduja-owned IndusInd Media and Communications Ltd (IMCL), which runs its cable TV business under the Incablenet brand, has posted a revenue of Rs 755.20 million compared to Rs 811.67 million a year ago.
A subsidiary of Hinduja Ventures Ltd (HVL), IMCL‘s operating profit dropped 28.1 per cent to Rs 103.76 million for the three months through September.

IMCL forecasts an almost flat revenue growth over last year with carriage income stagnating, as broadcasters face the heat of an advertising slowdown.

Wire & Wireless (India) Ltd had earlier said its operating revenue fell 16.66 per cent to Rs 697.97 million for the second quarter. “A few carriage deals with broadcasters could not be firmed up during the second quarter. We hope to conclude them in the third quarter,” a source had told 
Multi-system operators (MSOs) have been bailed out by a fattening of carriage revenue over the last few years, luring them to expand geographically through the acquisition route. The promise of digitisation has also attracted private equity into the sector.

IMCL claims to have over 6.5 million subscribers across 27 major cities. During the quarter, Sangli Media Services became a subsidiary of IMCL.

MSOs have used carriage income to partially fund their digitisation and acquisition expansion. "Carriage is contributing to over 50 per cent of the MSO‘s revenue," the head of a leading MSO said.

Latest Reads
Highly-beneficial interactions take place at Broadcast India '16

The 26th Broadcast India Show concluded over the weekend in Mumbai, and was easily the most exciting Broadcast India Show yet. With thousands of eager, high-quality trade visitors swarming the show floor, a sentiment signalling highly-beneficial exchanges and interactions echoed through the halls...

Technology Software Applications
India, China to propel APAC, beat CAS Europe market share

APAC is expected to overtake the market share of Europe in future due to an increasing demand for digital TV set-up boxes in countries such as China and India. North America and Europe dominated the global CAS market in 2015. APAC region is estimated to mark a growth rate of 12.0 per cent CAGR...

Technology Hardware Set-top Boxes
India lucrative market for 4K UHD STBs: Grand View Research

Here’s a view on the demand for 4K or ultra high definition (UHD) set-top boxes (STBs) in India.

Technology Hardware Set-top Boxes
Infor appoints Dass as south Asian subcontinent V-P

Infor, a leading provider of business applications specialized by industry and built for the cloud, has appointed Ashish Dass as the vice president and managing director for the south Asian subcontinent. Infor software helps eliminate the need for costly customization through embedded deep...

Technology Software Applications
Siti & DishTV opt for Conax conditional access

The Essel group has been using Conax’s tech for sometime now for its Siti Network (earlier known as Siti Cable). Now the group has extended that partnership for another product for both Siti Network and DTH operator Dish TV India. This time it is for the cardless set top boxes that the two are...

Technology Hardware Set-top Boxes
Imagine Communications extends functionality of Selenio One unified transcoding platform to OTT

MUMBAI: Imagine Communications, empowering the media and entertainment industry through transformative innovation, today introduced a high-density adaptive bitrate (ABR) transcoding product built on Selenio One™, the company’s software-defined linear transcoding platform. Selenio One is designed...

Technology Hardware Components
DJI Makes Your Smartphone Smarter with the New Osmo Mobile

DJI, the world leader in creative camera technology, Thursday launched the Osmo Mobile, an extension for smartphones that turns them into intelligent, precision camera systems.

Technology Hardware Components
Prime Focus Tech gets funding from PE firm Ambit Pragma

MUMBAI: Prime Focus Technologies (PFT) – the technology offshoot of media services company Prime Focus - informed the Bombay stock exchange today that it had received its first round of funding from growth capital private equity fund Ambit Pragma.

Technology Software Applications
Three new products developed by C-DOT launched on its Foundation Day

Communications Minister Manoj Sinha today expressed the hope that 100,000 Gram Panchayats (GPs) will be connected through Optical Fibre Cable (OFC) by March next to set up a network infrastructure to serve the rural masses.

Technology Hardware Distribution

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories